Ask Rande

Top 1809. Aug 16, 1999 12:47 PM

» KirkL - Phyllis, I went through the same pain last week and decided to j

Phyllis, I went through the same pain last week and decided to just go for more GNMA with the cash I had.

Now I have a "Vanguard Brokerage Service Account". I wonder if they would let my buy BTTRX?

Vanguard will have a tougher time long term when you can buy Wilshire5000 equivanlent of SPYders from Schwab or Fidelity. What bothered me about the tactical move, is I expect we might get a big correction sometime over Y2K fears. If this happens, I think Bonds could go really low in yield as they are a 'flight to quality' target. I would want to switch out then to go to stock and it seems they really don't want you doing this at Schwab and Fidelity. They have fees they charge that are fairly high so your profits need to be large enough to cover those fees. not an issue if we get a big more, but something else to consider.

-- posted by KirkL

Top 1810. Aug 16, 1999 1:13 PM

» RandeS - Phyllis/Kirk,

Phyllis/Kirk,

You do the best you can given the structure you're under, just like with a 401(k). That's why I like Schwab -- lots of flexibility, if not the cheapest. I do have an account at Vanguard and Price as well that I've had forever, but have consolidated most, including IRAs, at Schwab and have been pleased with the convenience and service.

-- posted by RandeS

Top 1811. Aug 16, 1999 1:14 PM

» RandeS - Well, hard to believe bonds did as well as they did today -- nic

Well, hard to believe bonds did as well as they did today -- nice follow-through from Friday. Dow move belies very anemic volume in the equity markets. All eyes on CPI tomorrow am, eh?

-- posted by RandeS

Top 1812. Aug 16, 1999 1:16 PM

» Phyllis - Vanguard Brokerage Services

Kirk:

I also have a Brokerage account in my IRA at Vanguard but BTTRX is not an option because Vanguard doesn't do business with them even for a fee. Since Mr. Bogle is not happy (or so I've read) with even having a brokerage side to Vanguard, I'm not surprised. When I call them up online on my computer I can't get a total read out of all my accounts at one time. I have to go to the mutual fund side for information and then go over to the brokerage side for more information. I've talked to them and the mutual fund side doesn't acknowledge the brokerage side and vice versa. Good luck if you hold a Traditional IRA, Roth IRA, (include a husband's IRA holdings also) and then taxable money and have them in all mutual funds and brokerage accts. It can be a chore. And those 14 page statements (for such a little amount of money) are ridiculous.

Rande:

What is the best way for us to position ourselves so we have a more flexible opportunity to take advantage of things like this bond buying opportunity? Change everything over to Schwab, go back to a regular broker? Spread yourself out so you are everyplace (don't like that and neither will my CPA), any suggestions? thanks.

Phyllis

-- posted by Phyllis

Top 1813. Aug 16, 1999 1:28 PM

» RandeS - Phyllis,

Phyllis,

Well, my usual advice is the same I personally follow. Set up the main account and the IRAs at a discount broker with mutual fund "super market" capability, such as Schwab. In the case of the AmCent fund, no transaction fee. I prefer fewer to more accounts, but if I was just starting out would probably only one additional account and that would be at Vanguard. Still, unless you're dollar-cost-averaging and are going to get hit with a periodic fee, the one-time minimal transaction fee at a place like Schwab to buy or sell a Vanguard fund may be worth it when considering the convenience and simplification.

-- posted by RandeS

Top 1814. Aug 16, 1999 1:36 PM

» dna2 - Divergence in the market

Well the divergence in the market between DOW, S&P, and NASDAQ continued, particularly at the end of todays trading. BB sure seemed concerned about this, do you view this as a negative signal as well?

-- posted by dna2

Top 1815. Aug 16, 1999 1:39 PM

» Hugs - Wonder how many will tune in tomorrow?

To Rande's thread first thing in the AM for his read on the CPI numbers?

I'll admit to planning on being here myself. Amazing creatures of habit we are... always quick to adapt to something that make things a bit easier.

-- posted by Hugs

Top 1816. Aug 16, 1999 2:09 PM

» KirkL - this is the first place I look every AM.

Nice to see what is important for the day and what new numbers are out. Rande does a nice job of it for us.

Rande, Fidelity has similar brokerage supermarket services to Schwab, is cheaper for transcactions but Schwab has a bit more intuitive website and it is easier to buy and sell without all the safeguards. then again, Schwab might get you into trouble faster that way.

I agree with Phyllis, Vanguard is a royal pain!

-- posted by KirkL

Top 1817. Aug 16, 1999 3:49 PM

» RandeS - Kirk,

Kirk,

Fidelity is good, so is Jack White. Schwab's not the only game in town. Still, their big and they do things right. I'm comfortable there. Speaking of "town," it might be a San Francisco native thing for me, but I like 'em. Still have my Vanguard account -- the quick in and out thing's not so important for me when it comes to the Total Market Index and I've had that account since long before Schwab did the supermarket thing. Inertia.

-- posted by RandeS